bml312 pmh case study
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Perpetual Mercy HospitalDowntown Health Clinic
Strategic Marketing Case AnalysisKelly Zeman
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Perpetual Mercy HospitalDowntown Health Clinic
4 Objectives of DHC Charter
Expand Perpetual Mercy Hospital’s referral base
Increase referrals of privately insured patients
Establish liaison with business community by addressing employers’ specific health needs
Become self-supporting three years after opening
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Perpetual Mercy HospitalDowntown Health Clinic
Services offered at DHC
Preventive health care
Minor-emergency care
Referral for acute & chronic problems
Specialized employer services
Primary health care services
Basic X-ray and laboratory tests
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Perpetual Mercy HospitalDowntown Health Clinic
Strategic Marketing Case Analysis
ENVIRONMENTIndustry, Market, Consumers
ORGANIZATIONInsights & Relevant Forces
PLAN OF ACTIONAnalysis & Evaluation
RECOMMENDATIONSMarketing Strategies & Assessments
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Perpetual Mercy HospitalDowntown Health Clinic
Strategic Marketing Case Analysis
ENVIRONMENT
Industry, Market, Consumers
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Perpetual Mercy HospitalDowntown Health Clinic
Environment - Healthcare Industry
- Government Policy Influence1960s Expansion1980s Contraction
- Healthcare Innovations & IncentivesPreventative careAmbulatory facilities
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Perpetual Mercy HospitalDowntown Health Clinic
Significant Changes in Healthcare Industry
Medical & Technology advancements have lead to fewer and shorter hospital stays
Introduction of Ambulatory Centers and other treatment provider alternatives
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Perpetual Mercy HospitalDowntown Health Clinic
Environment - Healthcare Market
Healthcare consumers have many options
PMH - 1 of 6 hospitals in city (1 of 20 in county)
DHC – Many comparable facilities in city & county
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Perpetual Mercy HospitalDowntown Health Clinic
Environment - Healthcare Consumers
Comprehensive ServicesConvenient Hours & LocationsCompetitive Pricing
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Perpetual Mercy HospitalDowntown Health Clinic
Strategic Marketing Case Analysis
ORGANIZATION
Insights & Relevant Forces
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Perpetual Mercy HospitalDowntown Health Clinic
• Perpetual Mercy Hospital – Insights & Relevant Forces
History
Financial Strength
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Perpetual Mercy HospitalDowntown Health Clinic
• Downtown Health Clinic – Insights & Relevant Forces
Affiliation with PMHPast, Present, Future PerformanceHours of OperationStaffing During Peak Hours
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Perpetual Mercy HospitalDowntown Health Clinic
Strategic Marketing Case Analysis
PLAN OF ACTION
Analysis & Evaluation
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Perpetual Mercy HospitalDowntown Health Clinic
Situation Analysis
Current & Potential Competition
Service & Profit Concerns
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Perpetual Mercy HospitalDowntown Health Clinic
CompetitionDHC Average
Patients / Yr 3,900 6,949
Physicians / 8-hr Shift 1 2
Est. Patient Visits / Hr 1.9 3.4
Est. Avg Charge / Visit $ 68 $ 65
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Perpetual Mercy HospitalDowntown Health Clinic
Liaison Work With Community
Patient Origin – 75% Within 3-Block Radius
Monthly Repeat Visits Increasing
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Perpetual Mercy HospitalDowntown Health Clinic
Changes Within Industry
Segmenting Healthcare Services
Currently Operating at 42% Capacity
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Perpetual Mercy HospitalDowntown Health Clinic
Solving For DHC Needs
Current Situation vs. Viable Future
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Perpetual Mercy HospitalDowntown Health Clinic
Strategic Marketing Case Analysis
RECOMMENDATIONS
Marketing Strategies & Assessments
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Perpetual Mercy HospitalDowntown Health Clinic
Recommendations - Promotion
Advertising
Increasing Community Recognition
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Perpetual Mercy HospitalDowntown Health Clinic
Recommendations – Product & Pricing
Increase PPO Partnerships With Local Business
Focus on Employment & Insurance Physical Exams
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Perpetual Mercy HospitalDowntown Health Clinic
Recommendations - Place
Extend Clinic Hours
Increase Staffing During Peak Hours
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Perpetual Mercy HospitalDowntown Health Clinic
Recommendation Implementation
Competitive Response
Financial Outcome
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Perpetual Mercy HospitalDowntown Health Clinic
Implementing Suggested Marketing Strategies
DHC Will Meet Service & Profitability Objectives
DHC Will Strengthen Position Within Target Market